Traditional measurement tools, such as surveys, are limited in their ability to assess the state of an entity. The tools that are commonly used are ‘static’ in that they measure a number of variables relating to one aspect of an entity, for example, people's attitudes, behaviours or actions at a single point in time. Reports provided using traditional measurement tools typically show averaged scoring related to each dimension measured. Several variables are often grouped by averaging single variables to form a larger composite variable. This is carried out to simplify complexity and to make sense of the data.
While such tools can provide limited assessment of certain aspects of the entity, these tools become unreliable and difficult to use when assessing more complex interactions between variables and when used to assess the impact that change has on the state of the entity. Where statistical analysis is used to establish links between people's behaviour, change that takes place in the entity and organisational performance outcomes it often leads to inconclusive results. Gross assumptions need to be made in relation to what influences the entity's performance. Good quality data is difficult to obtain and the analysis generally does not take into account the impact of multidimensional variables on performance outcomes nor does the analysis adequately allow for the impact of moderating variables that change the state of the entity. The work is time consuming and provides little practical value for the manager responsible for managing change and achieving business outcomes.
Therefore using traditional tools it is difficult to establish links to performance outcomes and it is not possible to model the impact of change on the entity adequately. In the absence of tools to clearly understand, measure and manage variables associated with the entity, such entities continue to be guided by poor information.